The latest Market Talks covering Energy markets. Published exclusively on Dow Jones Newswires throughout the day.
2111 ET - Bumi Armada's balance sheet is showing significant improvement, with sharply reduced systemic risk as net debt fell to multi-year lows of 849 million ringgit in 1Q, from more than 9.0 billion ringgit in 2018, Maybank IB analyst Jeremie Yap says in a note. The stronger financial position could support future floating production storage and offloading vessel bids, acquisitions and development of its Indonesian assets, he says. A new FPSO contract win could serve as a key re-rating catalyst for Bumi Armada, he adds. However, Maybank lowers Bumi Armada's target price to 0.35 ringgit from 0.37 ringgit as its 1Q earnings still missed street expectations, and maintains a hold rating. Shares are unchanged at 0.34 ringgit. (yingxian.wong@wsj.com)
2022 ET - Oil rises in early Asian trade amid high Middle East tensions that could keep supply disruptions elevated. "Iranian President Masoud Pezeshkian said the country won't back down in talks" with the U.S., ANZ Research analysts say in a research report. "Issues at stake remain the location of Iran's uranium stockpile and control over the Strait of Hormuz," the analysts say. The Strait of Hormuz is a key waterway through which one-fifth of the world's oil is typically transported. Front-month WTI crude oil futures are 1.4% higher at $97.67 per barrel; front-month Brent crude oil futures are 1.9% higher at $104.49 a barrel.(ronnie.harui@wsj.com)
1930 ET - Napier Port loses a bull in Forsyth Barr, which views its valuation as fair when adjusted to reflect current bond rates. Forsyth Barr downgrades Napier Port to "neutral," from "outperform." It expects pricing growth, which has supported earnings in recent years, to moderate from FY27. Meanwhile, the near-term cargo volume backdrop is mixed, with a positive outlook for containers and downside risk for logs. "Log volumes, which make up 80% of bulk cargo, are likely to decline through the second half due to the impact of higher diesel prices," analyst Andy Bowley says. Napier Port is down 0.6%, at NZ$3.63, today. (david.winning@wsj.com; @dwinningWSJ)
1543 ET - Crude futures settle lower in an up-and-down session with conflicting expectations for an agreement to end the U.S.-Iran stalemate. Prices spiked early on a report that Iran insists on keeping its enriched uranium, but hopes for a deal were rekindled late in the session with Pakistani mediators in Tehran for meetings. Talk of an imminent deal has proven false on several occasions, sending oil prices back up, Ritterbusch & Associates says in a note. "This scenario could continue to play out in the coming weeks until some framework of a deal is achieved that could, at least, provide for a partial reopening of the Strait of Hormuz." WTI settles down 1.9% at $96.35 a barrel and Brent falls 2.3% to $102.58 a barrel. (anthony.harrup@wsj.com)
1533 ET - U.S. natural gas futures settle modestly higher following a slightly larger-than-expected inventory build. The EIA reported a 101 Bcf storage injection for last week, putting supplies 149 Bcf or 6.6% above the five-year average. "The heat wave that began late in the week did not drive significant increases in power burn until after the cutoff for today's report and will be reflected in next Thursday's release," Andy Huenefeld of Pinebrook Energy Advisors says in a note. "There appears to be significant support surrounding $3.00 per mmBtu for the prompt-month contract, which was tested and held in the minutes following the report." Nymex gas settles up 0.5% at $3.018/mmBtu. (anthony.harrup@wsj.com)
1340 ET - The longer the U.S.-Iran war drags on, and the longer the Strait of Hormuz remains closed, makes a return to normalcy in energy that much more complicated. While oil prices are expected to draw back considerably if a peace deal is made, the process of clearing the logjam of ships attempting to enter and leave the Strait looks to be extensive, says David Oxley of Capital Economics in a note. "At best, it could take weeks for ships to reposition themselves," says Oxley. "At worst, a lack of shipping could be a constraining factor for months and delay production timetables." The movement of oil prices has been a key factor dictating how other commodities move, which is why many agricultural futures and metal futures have added war premium. (kirk.maltais@wsj.com)
1222 ET - A free trade agreement between the U.K. and the Gulf Cooperation Council countries, a bloc which includes Saudi Arabia and the U.A.E., is a win-win for both sides, says Junaid Ansari of Kuwait-based Kamco Invest. It will help strengthen trade and business ties while opening doors in technology, life sciences, pharma, logistic, AI and financial services, he notes. It could help the Gulf economies offset U.S. tariff pressure and the Middle East war-related disruptions, Ansari says. (farhan.rafid@wsj.com)
1112 ET - U.S. natural gas inventories post their first triple-digit increase in four weeks, rising slightly more than expected and increasing the surplus over the five-year average. Natural gas in underground storage was up by 101 billion cubic feet at 2,391 Bcf in the week ended May 15, the EIA reports. That put stocks 149 Bcf above the 2021-2025 average, compared with a surplus of 140 Bcf the week before. Analysts in a Wall Street Journal survey had predicted a 95 Bcf injection. Nymex natural gas futures hold their ground following the report, rising 0.3% at $3.012/mmBtu. (anthony.harrup@wsj.com)
1021 ET - Canada as a net oil exporter typically benefits from higher crude prices, though research by Scotiabank indicates that may have limits. Modelling director Olivier Gervais says higher oil prices remain a net positive for activity in Canada at current levels, but the macro payoff diminishes as prices rise. He finds evidence that once oil prices move into the US$120-US$130 range they no longer provide a statistically meaningful boost to Canadian activity. Gervais cautions against seeing this as a precise tipping point, but instead considers it an indicative zone where the positive relationship becomes markedly less clear. (robb.stewart@wsj.com; @RobbMStewart)
1006 ET - Walmart CFO John David Rainey says on an analyst call that customers are buying less gas. "We see that in the most recent period, the number of gallons that customers fill up with when they come to our fuel stations fell below 10 for the first time since 2022. That's an indication of stress," he says. The strength of the consumer splits along income lines with high-income consumers still spending with confidence and the lower-income consumer "more budget conscious and perhaps navigating financial distress," Rainey says. (nicholas.miller@wsj.com)
1001 ET - Higher fuel prices are imposing significant costs on Walmart and the company's chief financial officer says that retail price inflation could rise for the rest of the year if those costs remain elevated. "These are real impacts to cost of goods sold for us and our suppliers," says John David Rainey. In 1Q, the company absorbed $175 million, or about 250 basis points of operating income growth, from higher than expected fuel costs. The inflation could particularly impact food categories, which are heavily dependent on fertilizer supply that is being hurt by the closure of the Strait of Hormuz, Rainey says. (nicholas.miller@wsj.com)
0956 ET - Eurozone purchasing managers surveys point to a weak second quarter for the economy, Commerzbank's Vincent Stamer says in a note. The composite PMI fell to 47.5 in May from 48.8, a third-straight decline, driven lower by the conflict in the Middle East. At the same time, input prices for companies continue to rise. "This presents a dilemma for the European Central Bank: to curb inflation, the bank would have to raise key interest rates, which would further weigh on the economy," he says. Stamer therefore expects only a quarter-point interest-rate hike by the central bank in June. However, if the Strait of Hormuz remains closed into the second half of the year, the ECB would likely raise rates again, he says. (edward.frankl@wsj.com)
(END) Dow Jones Newswires
May 21, 2026 21:11 ET (01:11 GMT)
Copyright (c) 2026 Dow Jones & Company, Inc.
Comments